Alabama Reverse Mortgage Rules – How It All Works

What is a reverse mortgage? Is it something that I should consider as an older homeowner in AL? That’s a question you are probably asking yourself after hearing about something that may sound too good to be true. In life, if something sounds too good to be true, then it usually is. So having heard about a way to not only eliminate your mortgage payments forever but also to get access to the equity in your home, it’s understandable if you are skeptical. Well, there’s good news. Reverse mortgages really do offer the advantages mentioned above, and they do so without having any negatives that are worth mentioning. The bottom line is that a reverse mortgage can take your burdensome mortgage payment and make it a thing of the past. It can also give you access to the equity you have built in your home so you can live your life the way that you want to live it.

Find out how a reverse mortgage loan can be part of a comfortable retirement. Click here for free information.

Who Is Able To Qualify For A Reverse Mortgage in Alabama?

Not just anyone can qualify for a reverse mortgage, there are specific criteria that you have to meet in order to take advantage of this great opportunity. First of all, you have to be age 62 or older in order to qualify for a reverse mortgage. Second of all, you have to have sufficient equity in your home in order to be approved. If you can meet both of these criteria then chances are pretty good that you can be approved for a reverse mortgage.

Can A Reverse Mortgage Really Make My AL Mortgage Payments A Thing Of The Past?

If you are struggling with making your monthly mortgage payments while still covering your other expenses then you aren’t alone. Nobody expected life to be this hard, but the reality is that far too many people look at their mortgage payment as a major burden. So when an opportunity to get rid of that burden, while still keeping your home presents itself, isn’t that the kind of opportunity that you should jump at?

With a reverse mortgage, those burdensome monthly payments really can be a thing of the past. On top of that, you can also draw out money from the equity in your Alabama home. You can use this equity to pay down bills, make home improvements, even to take a trip that you have always wanted to. These should be the best years of your life, and with a reverse mortgage, they can be.

Is There Any Catch Here?

If all of this sounds amazing you are probably waiting for some type of negative aspect of an Alabama reverse mortgage to show up and ruin what seems like an amazing opportunity. The truth is that there isn’t a catch. You keep your home for as long as you want to. You don’t make any payments ever again. You get access to the equity in your home. There really isn’t a negative aspect to any of this.

You may be wondering what’s in it for the mortgage company, and that’s a very valid concern. When the time comes to sell your home, the Alabama reverse mortgage company will be paid back the money that they are owed from the sale of the home. Then whatever money is leftover from repaying the reverse mortgage will go to you, or go to any of your heirs. So if you are ready to take advantage of all of that equity in your home to live a better quality of life, then a reverse mortgage is exactly what you have been looking for.

Interested in an Alabama reverse mortgage? Click here for a free information kit!

Who are the Top HECM Lenders in Alabama?

Lender Loans Total Principal Limit
AMERICAN ADVISORS GROUP 1,803 292,819,768
WELLS FARGO 1,394 201,233,272
ONE REVERSE MORTGAGE LLC 1,253 169,249,670
MCGOWIN KING MORTGAGE LLC 575 84,119,568
MCGOWIN-KING MORTGAGE LLC 468 86,673,709
FIRSTBANK 357 61,289,237
FINANCE OF AMERICA REVERSE LLC 343 50,287,266
TOTAL MEDIA MANAGEMENT LLC 311 57,897,475
FINANCIAL FREEDOM SENIOR FUNDING CORP 303 36,853,020
METLIFE BANK NATIONAL ASSOCIATION 288 46,002,950
GENERATION MORTGAGE COMPANY 254 37,756,810
AMERICAN REVERSE MORTGAGE CORP 239 28,355,726
LIBERTY HOME EQUITY SOLUTIONS INC 218 35,471,350
SAFEWAY MORTGAGE INC 193 20,447,418
WORLD ALLIANCE FINANCIAL CORP. 187 29,166,160
UNITY MORTGAGE CORP 155 14,806,395
REVERSE MORTGAGE SOLUTIONS INC 144 20,523,572
EQUIPOINT FINANCIAL NETWORK INC 139 20,637,470
OPEN MORTGAGE LLC 134 24,356,705
REVERSE MORTGAGE USA INC 128 16,405,400

Since 2012

Lender Loans Total Principal Limit
AMERICAN ADVISORS GROUP 1,507 250,586,158
ONE REVERSE MORTGAGE LLC 599 87,180,600
MCGOWIN-KING MORTGAGE LLC 347 66,065,459
TOTAL MEDIA MANAGEMENT LLC 311 57,897,475
FIRSTBANK 253 46,384,168
LIBERTY HOME EQUITY SOLUTIONS INC 206 33,534,350
FINANCE OF AMERICA REVERSE LLC 142 25,826,726
REVERSE MORTGAGE SOLUTIONS INC 127 18,548,972
OPEN MORTGAGE LLC 120 22,072,205
PROFICIO MORTGAGE VENTURES LLC 103 15,872,250

Alabama Reverse Mortgage Rates

Current Rates

Date Fixed Rate Adjustable Rate
2019-01-01 4.56% 5.42%
2019-02-01 NA 5.30%
2019-03-01 4.81% 4.89%
2019-04-01 NA 4.84%
2019-05-01 NA 4.93%
2019-06-01 NA 4.82%
2019-07-01 NA 4.55%
2019-08-01 NA 4.66%
2019-09-01 NA 4.72%
2019-10-01 NA 4.40%
2019-11-01 4.06% 4.36%
2019-12-01 NA 4.48%
2020-01-01 NA 4.36%
2020-02-01 NA 3.95%
2020-03-01 NA 4.16%
2020-04-01 NA 3.86%
2020-05-01 NA 3.79%
2020-06-01 3.56% 3.59%
2020-07-01 NA 3.39%
2020-08-01 NA 3.19%
2020-09-01 NA 3.07%
2020-10-01 3.43% 3.23%
2020-11-01 2.99% 3.06%
2020-12-01 3.12% 3.09%
2021-01-01 NA 2.97%
2021-02-01 3.12% 2.88%
2021-03-01 3.02% 2.80%
2021-04-01 NA 2.71%
2021-05-01 3.06% 2.49%
2021-06-01 3.18% 2.27%
2021-07-01 NA 2.30%
2021-08-01 3.43% 2.11%
2021-09-01 3.68% 2.29%
2021-10-01 3.43% 2.45%
2021-11-01 3.37% 2.26%
2021-12-01 NA 2.46%
2022-01-01 3.37% 2.63%
2022-02-01 NA 2.58%
2022-03-01 NA 2.85%
2022-04-01 NA 3.40%

Historic Rates

Date Fixed Rate Adjustable Rate
2016-01-01 4.92% 3.66%
2016-02-01 5.06% 3.71%
2016-03-01 5.06% 3.88%
2016-04-01 5.05% 3.99%
2016-05-01 5.06% 4.10%
2016-06-01 5.06% 4.22%
2016-07-01 5.06% 4.37%
2016-08-01 5.06% 4.36%
2016-09-01 4.96% 4.58%
2016-10-01 5.06% 4.71%
2016-11-01 5.06% 4.77%
2016-12-01 4.90% 4.76%
2017-01-01 NA 4.85%
2017-02-01 4.97% 4.79%
2017-03-01 5.00% 4.66%
2017-04-01 5.06% 4.53%
2017-05-01 5.06% 4.47%
2017-06-01 4.98% 4.39%
2017-07-01 5.01% 4.43%
2017-08-01 5.06% 4.53%
2017-09-01 5.02% 4.56%
2017-10-01 NA 4.56%
2017-11-01 5.06% 4.62%
2017-12-01 5.06% 4.68%
2018-01-01 NA 4.74%
2018-02-01 NA 4.67%
2018-03-01 4.82% 4.74%
2018-04-01 4.87% 4.66%
2018-05-01 4.87% 4.72%
2018-06-01 4.62% 4.84%
2018-07-01 4.77% 4.94%
2018-08-01 3.99% 4.94%
2018-09-01 5.06% 4.91%
2018-10-01 4.68% 4.92%
2018-11-01 NA 5.17%
2018-12-01 NA 5.19%

Top Cities in Alabama by Total HECM Loans Originated

Rank City Zip Total
1 BIRMINGHAM 35226 1,412
2 MOBILE 36608 843
3 HUNTSVILLE 35803 476
4 MONTGOMERY 36111 409
5 DOTHAN 36303 286
6 TUSCALOOSA 35406 204
7 BESSEMER 35023 190
8 GADSDEN 35901 173
9 FOLEY 36535 169
10 DECATUR 35601 159
11 FAIRHOPE 36532 150
12 ANNISTON 36207 147
13 FLORENCE 35630 140
14 PHENIX CITY 36867 137
15 ATHENS 35611 135
16 MADISON 35758 121
17 TRUSSVILLE 35173 106
18 CULLMAN 35055 104
19 SYLACAUGA 35150 99
20 PRATTVILLE 36067 94
21 DAPHNE 36526 93
22 ALBERTVILLE 35950 92
23 THEODORE 36582 91
24 HOOVER 35226 89
25 VESTAVIA 35216 77
26 JASPER 35501 77
27 WETUMPKA 36092 77
28 NORTHPORT 35473 76
29 ENTERPRISE 36330 75
30 HARTSELLE 35640 74

Find out how a reverse mortgage loan can be part of a comfortable retirement. Click here for free information.

HECM Counselors in Alabama

CCCS OF MOBILE
705 OAK CIRCLE DRIVE EAST
MOBILE, AL 36609-4221
(251) 602-0011
http://www.cccsmobile.org

CCCS OF TENNESSEE RIVER VALLEY
701 ANDREW JACKSON WAY
HUNTSVILLE, AL 35801-3504
(256) 881-1000

GATEWAY FINANCIAL FREEDOM/CCCS OF CENTRAL ALABAMA
1401 20TH ST S
BIRMINGHAM, AL 35205-4913
(205) 251-1572
http://www.gway.org

HALE EMPOWERMENT AND REVITALIZATION ORGANIZATION (HERO)
1120 MAIN ST
GREENSBORO, AL 36744-1516
(334) 624-0842
http://www.herohousing.org/

LEGAL SERVICES ALABAMA INC
2567 FAIRLANE DRIVE SUITE 300
MONTGOMERY, AL 36116-1643

MOBILE HOUSING BOARD
151 S CLAIBORNE ST
MOBILE, AL 36602-2323
(251) 434-2205
http://www.mobilehousing.org

UNITED WAY OF CENTRAL ALABAMA,INC.
3600 8TH AVENUE
BIRMINGHAM, AL 35222-3250
(205) 251-5131
www.uwca.org

Other Local Information